Illumina Insider Sold $1.2M In Company Stock

Alexander Aravanis, SVP And Chief Technology Officer at Illumina ILMN, made a large insider sell on October 12, according to a new SEC filing.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Tuesday showed that Aravanis sold 2,926 shares of Illumina at prices ranging from $407.29 to $411.22. The total transaction amounted to $1,197,350.

Aravanis still owns a total of 13,457 shares of Illumina worth, $5,502,769.

Illumina shares are trading up 0.2% at $408.92 at the time of this writing on Friday morning.

Why Insider Transactions Are Important

Insider transactions shouldn't be used primarily to make an investing decision, however an insider transaction can be an important factor in the investing decision.

In legal terms, an "insider" refers to any shareholder who owns at least 10% of a company. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.

When a company insider makes a new purchase, that is an indication that they expect the stock to rise.

Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.

Important Transaction Codes

Investors prefer focusing on transactions that take place in the open market, indicated in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S indicates a sale. Transaction code C indicates the conversion of an option, and transaction code A indicates the insider may have been forced to sell shares in order to receive compensation that had been promised upon being hired by the company.

Check Out The Full List Of Illumina's Insider Trades.

Posted In: NewsInsider TradesTrading IdeasAlexander AravanisBZI-ITInsider sells
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...